Risks of using a civil law contract
Posted: Mon Jan 20, 2025 9:14 am
are similar to the employment contract.
Conditions under which the tax authorities may suspect substitution of labor relations:
the customer requires registration as self-employed;
the civil-law contract does not specify the scope of work; the contractor may provide services not on a one-time basis, but on an ongoing basis;
the performer's salary is the same, it is received regularly, the amount does not change during the year;
the contractor works overseas chinese in canada data according to the work schedule - in shifts, at certain hours, and in case of violation receives a fine;
The agreement stipulates that the customer exercises control over the execution of the work, and not only evaluates the result.
A civil-law contract can be reclassified in two cases:
the contractor himself wrote an application with a request to be re-registered as a member of the company's staff in accordance with the Labor Code of the Russian Federation. If the employer agrees, he will be re-registered, and the contract will be concluded in accordance with labor legislation;
If the employer refuses, the contractor can file a lawsuit and file a complaint with the labor inspectorate.
The Federal Tax Service has established that an employer can disguise employment relations under a civil-law contract to save money. If this is suspected, information about the employer is transferred to the regional commission of the subject for combating illegal employment, which has been in effect since 2024.
According to the order of the Ministry of Labor No. 40n dated 02.02.2024, illegal activity is considered to be the work of a company with more than 10 self-employed employees on staff for one year or self-employed employees hired for more than three months.
If a violation is detected, the employer is subject to administrative liability, and from 2025, will be included in the register of unscrupulous organizations.
If a civil-law contract is declared invalid by a court, it must be reclassified as an employment contract from the date of the civil-law contract. Then he must pay taxes, contributions, compensate for vacations and overtime. The contractor may request compensation for moral damage.
Penalties for employers for substitution of labor relations:
Individual entrepreneur: from 5 to 10 thousand rubles;
legal entities: from 50 to 100 thousand rubles;
officials: from 10 to 20 thousand rubles.
Download a useful document on the topic:
Checklist: How to Achieve Your Goal
Conditions under which the tax authorities may suspect substitution of labor relations:
the customer requires registration as self-employed;
the civil-law contract does not specify the scope of work; the contractor may provide services not on a one-time basis, but on an ongoing basis;
the performer's salary is the same, it is received regularly, the amount does not change during the year;
the contractor works overseas chinese in canada data according to the work schedule - in shifts, at certain hours, and in case of violation receives a fine;
The agreement stipulates that the customer exercises control over the execution of the work, and not only evaluates the result.
A civil-law contract can be reclassified in two cases:
the contractor himself wrote an application with a request to be re-registered as a member of the company's staff in accordance with the Labor Code of the Russian Federation. If the employer agrees, he will be re-registered, and the contract will be concluded in accordance with labor legislation;
If the employer refuses, the contractor can file a lawsuit and file a complaint with the labor inspectorate.
The Federal Tax Service has established that an employer can disguise employment relations under a civil-law contract to save money. If this is suspected, information about the employer is transferred to the regional commission of the subject for combating illegal employment, which has been in effect since 2024.
According to the order of the Ministry of Labor No. 40n dated 02.02.2024, illegal activity is considered to be the work of a company with more than 10 self-employed employees on staff for one year or self-employed employees hired for more than three months.
If a violation is detected, the employer is subject to administrative liability, and from 2025, will be included in the register of unscrupulous organizations.
If a civil-law contract is declared invalid by a court, it must be reclassified as an employment contract from the date of the civil-law contract. Then he must pay taxes, contributions, compensate for vacations and overtime. The contractor may request compensation for moral damage.
Penalties for employers for substitution of labor relations:
Individual entrepreneur: from 5 to 10 thousand rubles;
legal entities: from 50 to 100 thousand rubles;
officials: from 10 to 20 thousand rubles.
Download a useful document on the topic:
Checklist: How to Achieve Your Goal